Post dating checks legal
BUT THE BANK HAS THE LEGAL RIGHT TO SUBMIT POST DATED CHECKS UPON RECEIPT WOULD APPRECIATE AND ANSWER Thank you for using Just Answer! The bot XXXXX XXXXXne is that when a check is tendered to another person/entity, that person/entity has the legal right to immediately go to the bank and cash it.
Although it might not seem right for a bank or credit union to disregard the date written on a check, they aren’t legally required to honor the request to postpone processing a transaction unless certain conditions are met by the check issuer. recently learned this the hard way when her bank processed a postdated check several weeks before she’d intended. had sent the check to a car dealership to cover the remaining $1,500 payout resulting from turning in a leased vehicle ahead of schedule.“Since we were still short a few hundred dollars, why not cover most of the payout, and send a postdated check for the rest later on,” she tells Consumerist.“[The dealer] would deposit the postdated check as stated, right? And because the bank processed the check before the date she’d written, M.’s account was overdrawn and she was hit with fees by her bank. to provide a postdated check, it also wasn’t illegal for the dealership to deposit the check or for the bank to take out the funds needed to cover that check, regardless of the date.Additionally, the post-dated check in the hands of your dentist is the equivalent of a promissory note. By accepting the check, the dentist impliedly promised not to negotiate it until the agreed-to date.So, the dentist owes you any fees that you may incur because the check was deposited early.In terms of the Texas penal code, a PD check constitutes a promise to pay the amount to the payee on a specific date.
People usually write PD checks when insufficient funds are available to cover the check on the date on which the payee needs it.
leginfo.gov' A bank is not obligated to pay a check that is presented more than six months after its date of issue, but may do so if it wishes.
(Commercial Code § 4404) There is no law that prohibits a check writer from postdating a check (giving it a date in the future).
Article 3-113 of the Uniform Commercial Code (UCC), which regulates sales and commercial transactions in all U. states, specifies that the date written on the "instrument" is what determines the date of payment, even if it the date on the check is later than the day when it is issued.
Although legally a check is payable on demand, it is not payable before the date on the check.
A PD check is a check written on a certain day but dated for a later date.